Squarespace generated $1,012.336 million in revenue during 2023, surpassing $1 billion for the first time. The company also reported more than 4.6 million total unique subscriptions during the year. Its Q1 2024 results showed continued growth, with quarterly revenue of $281.1 million and more than 4.9 million total unique subscriptions.
Contents
- Annual revenue and gross profit
- Profitability and earnings
- Subscriptions and average revenue
- Cash, debt, and cash flow
- Q1 2024 operating results
- Presence, commerce, and bookings
- Ownership and reporting context
Annual revenue and gross profit
Squarespace’s annual revenue increased across the three years reported in its 2023 Form 10-K. Revenue was $784.038 million in 2021, $866.972 million in 2022, and $1,012.336 million in 2023. The 2023 figure is also reported in Squarespace’s Q4/FY2023 results, which described the company as surpassing $1 billion in revenue for the first time.
The same 10-K reported gross profit of $657.407 million in 2021, $714.317 million in 2022, and $804.816 million in 2023. These figures describe annual gross profit rather than net income, so they represent a different stage of the company’s reported financial performance.
| Fiscal year | Revenue | Gross profit |
|---|---|---|
| 2021 | $784.038 million | $657.407 million |
| 2022 | $866.972 million | $714.317 million |
| 2023 | $1,012.336 million | $804.816 million |
The 2023 10-K is the source for all three annual revenue figures and all three annual gross-profit figures. The Q4/FY2023 results separately identify 2023 as the first year in which annual revenue exceeded $1 billion.
Profitability and earnings
Squarespace reported operating losses in both 2021 and 2022, followed by operating income in 2023. Operating loss was $240.874 million in 2021 and $211.814 million in 2022. In 2023, operating income was $83.728 million.
Net results followed a similar pattern of improvement, although the company still reported a small net loss in 2023. Net loss was $249.149 million in 2021, $252.221 million in 2022, and $7.081 million in 2023, according to the Squarespace 2023 10-K.
Basic and diluted earnings per share were both reported as $(2.60) for 2021, $(1.82) for 2022, and $(0.05) for 2023. The parentheses indicate negative per-share results in the source reporting.
The annual earnings figures provide three distinct reference points: a $240.874 million operating loss in 2021, a $211.814 million operating loss in 2022, and $83.728 million of operating income in 2023. The corresponding net figures were a $249.149 million loss, a $252.221 million loss, and a $7.081 million loss.
Subscriptions and average revenue
Squarespace’s Q4/FY2023 results reported more than 4.6 million total unique subscriptions in 2023, compared with 4.2 million in 2022. The measure counts total unique subscriptions for the stated year and is not presented as a count of people in the supplied results.
The company also reported ARPUS of $228.02 in 2023 and $209.16 in 2022. ARPUS is the source’s reported metric, and the figures are retained as presented rather than reinterpreted as a different customer or user measure.
By the first quarter of 2024, total unique subscriptions were more than 4.9 million, compared with 4.3 million in Q1 2023. Q1 2024 ARPUS was $226.63, while Q1 2023 ARPUS was $212.76. These quarterly measures should be read alongside their specific reporting periods, rather than treated as annual totals.
| Measure | 2022 or Q1 2023 | 2023 or Q1 2024 |
|---|---|---|
| Total unique subscriptions | 4.2 million in 2022 | More than 4.6 million in 2023 |
| ARPUS | $209.16 in 2022 | $228.02 in 2023 |
| Q1 total unique subscriptions | 4.3 million in Q1 2023 | More than 4.9 million in Q1 2024 |
| Q1 ARPUS | $212.76 in Q1 2023 | $226.63 in Q1 2024 |
The annual subscription and ARPUS figures come from Squarespace Q4/FY2023 results. The Q1 comparisons come from Squarespace Q1 2024 results.
Cash, debt, and cash flow
At December 31, 2023, Squarespace reported cash and cash equivalents of $257.702 million. Total debt was $568.793 million, and debt net of cash and investments was $311.091 million. The Q4/FY2023 results list total debt outstanding and total net debt at the same 2023 amounts: $568.793 million and $311.091 million, respectively.
For the full year 2023, cash flows from operating activities were $231.117 million. Free cash flow was $214.119 million, while unlevered free cash flow was $241.013 million. These are distinct cash-flow measures reported in the company’s Q4/FY2023 results and should not be treated as interchangeable.
The first quarter of 2024 provided a separate balance-sheet snapshot. Q1 2024 cash and cash equivalents were $241.9 million, total debt was $556.9 million, and debt net of cash and investments was $268.0 million. Those figures describe the Q1 2024 reporting period and are not replacements for the December 31, 2023 year-end amounts.
Q1 2024 operating cash flow was $85.2 million, compared with $64.2 million in Q1 2023. Q1 2024 unlevered free cash flow was $89.3 million. Squarespace also reported Q1 2024 adjusted EBITDA of $32.0 million, compared with $30.9 million in Q1 2023.
Q1 2024 operating results
Squarespace reported Q1 2024 revenue of $281.1 million, compared with $237.0 million in Q1 2023. Q1 2024 net income was $0.1 million, while Q1 2023 net income was $0.5 million.
The company reported Q1 2024 bookings of $325.9 million and Q1 2023 bookings of $265.8 million. Bookings are presented as a separate operating measure from recognized quarterly revenue in the Q1 2024 results.
Q1 2024 annual run rate revenue was $1,117.7 million. This is an annual run rate figure for the Q1 2024 reporting period, not the same measure as the $1,012.336 million of recognized revenue reported for the full 2023 fiscal year.
The quarter also included $85.2 million of operating cash flow, $89.3 million of unlevered free cash flow, and $32.0 million of adjusted EBITDA. The comparable Q1 2023 figures supplied for operating cash flow and adjusted EBITDA were $64.2 million and $30.9 million.
Presence, commerce, and bookings
Squarespace reported Q1 2024 presence revenue of $200.9 million and commerce revenue of $80.3 million. These are two revenue categories identified in the company’s Q1 2024 results.
The Q1 2024 results also reported $325.9 million in bookings, versus $265.8 million in Q1 2023. Revenue and bookings are different reported measures, and the source gives both for the quarter-to-quarter comparison.
For readers evaluating Squarespace in the context of a personal website, portfolio, or professional presence, the supplied operating data separates the business into presence and commerce revenue for Q1 2024. The figures are company-reported category amounts for that quarter; no additional geographic or customer-segment breakdown is supplied here.
The Q1 2024 subscription count was more than 4.9 million, and Q1 2024 ARPUS was $226.63. Together with $200.9 million in presence revenue and $80.3 million in commerce revenue, these figures describe the platform’s reported scale and revenue categories during the first quarter of 2024.
Ownership and reporting context
As of April 8, 2024, Squarespace reported 89,575,238 Class A shares outstanding and 47,844,755 Class B shares outstanding in its 2024 proxy. These share counts are tied to that specific date and are not annual averages or quarter-end subscription measures.
The company’s annual figures come from the Squarespace 2023 10-K, while the year-end operating, subscription, ARPUS, balance-sheet, and cash-flow figures come from Squarespace Q4/FY2023 results. Quarterly comparisons and Q1 2024 category figures come from Squarespace Q1 2024 results. The share counts come from the Squarespace 2024 proxy and are measured as of April 8, 2024.
These reporting periods matter when comparing the figures: annual revenue and profit describe fiscal years 2021 through 2023; subscription and ARPUS comparisons include both annual and Q1 periods; cash and debt snapshots are stated for December 31, 2023 or Q1 2024; and the share counts are measured on April 8, 2024.